A Case Study of the Introduction of a Workplace Parking Levy in Nottingham

Abstract

Abstract Purpose A Workplace Parking Levy (WPL) scheme represents a major transport demand management intervention which raises a levy on private non-domestic off street parking provided by employers to employees, regular business visitors and students. It therefore increases the average cost of commuting by car and stimulates a contraction in the supply of workplace parking places. Under UK legislation the revenue from such a scheme is hypothecated funding for further transport improvements. As such it is potentially an important mixed policy instrument available to transport authorities to tackle traffic congestion and create extra transport capacity by using the additional funding such a scheme provides. At present, in the United Kingdom, only Nottingham City Council has implemented such a scheme and thus an understanding of how that scheme was implemented, how it operates and the outcomes after a full year of operation are of importance to transport academics and other local authorities considering utilising a similar approach. Methodology This chapter presents an overview of the WPL scheme in Nottingham. The legislation, implementation experience, monitoring framework and outcomes for this scheme after the first year of full operation are discussed by drawing on current literature, documentary evidence and monitoring data. Findings The Nottingham WPL scheme was fully implemented in April 2012. The gap between the provisions of the underpinning legislation and the functioning scheme has necessitated the formulation of policy in line with the spirit of the legislation. Acceptance by the business community and the public were further barriers to implementation which were mitigated by a consultation process and a Public Examination. However acceptance remains a concern until the scheme has been shown to meet its key objective of reducing congestion. To date there is no evidence that the scheme has had a negative impact on business investment and, while there is as yet no evidence traffic congestion has reduced, it is still early for such impacts to be identified especially as the majority of the associated public transport improvements are yet to be implemented. However the WPL has already raised £7 million in net revenue in its first year of operation which is hypothecated for public transport improvements which may help encourage inward investment and reduce car travel. Practical implications At present the Nottingham WPL scheme has only been operational for a short time and a limitation to the research presented here is that the major public transport improvements part funded by revenue hypothecated from the WPL are not yet in place. It will be necessary to wait at least a further 3 years before more definite conclusions as to the success of the WPL package can be drawn. Originality/value of the chapter As the first of its kind in the United Kingdom or indeed in Europe, the WPL scheme in Nottingham provides a unique contribution to the literature, comparing and contrasting implementation and outcomes with those in Australia and Canada. Geographical and cultural differences between the United Kingdom and these countries mean that conclusions drawn concerning existing schemes in other continents are not necessarily transferable to the United Kingdom. This chapter provides evidence in a UK framework to assess if the approach could be suitably applied more widely.